In fundraising news, AI chip manufacturer Groq raised $640 million at a $2.8 billion valuation, location analytics startup Placer.ai secured an additional $75 million, and new social networking app why?! raised $1.65 million in a pre-seed round. Children's AI chatbot startup Heeyo raised a $3.5 million seed round. Techstars laid off 17% of its workforce and will wind down its Advancing Cities program, while Flint Capital raised a $160 million third fund. Despite funding challenges, 38 new unicorns were created this year.
Key takeaways:
- Several AI startup founders and executives, including those from OpenAI and Character.AI, have been switching companies or taking breaks this week.
- Defense tech startup Anduril has raised $1.5 million in fresh capital at a $14 billion valuation, aiming to become a top-tier defense contractor.
- AI chip manufacturing startup Groq has raised $640 million at a $2.8 billion valuation, competing with giants like Nvidia, Amazon, Google, and Microsoft.
- Techstars, a global startup accelerator, has laid off 17% of its workforce and will wind down its $80 million Advancing Cities program by the end of the year.